Manufacturing Increases Thanks To Exports

Orders to U.S. factories unexpectedly jumped in April, led by demand for petroleum and chemicals, signaling purchases from abroad are helping sustain manufacturing.

The 1.1 percent increase followed a 1.5 percent gain in March that was higher than previously estimated, the Commerce Department said today in Washington. Bookings excluding cars and airplanes climbed 2.6 percent for a second month.

Increases in categories such as machinery and electrical equipment indicate a weaker dollar is making American-made goods more attractive to overseas buyers, helping to keep some factories running. Still, soaring costs for raw materials and a cooling in consumer and business spending will prevent manufacturing from strengthening in coming months.

DKK
Bloomberg